Arcapita Bank, a leading international investment firm headquartered in Bahrain, has completed the acquisition of Pinnacle Real Estate, a leading developer and operator of logistics warehouses in Central and Eastern Europe.

The transaction includes an existing portfolio of leased warehouses of approximately 230,000 sq m, as well as a land bank of nearly 1.5 million sq m for future development. The majority shareholder prior to the acquisition was Merrill Lynch through its Global Principal Investments group (GPI). 

Pinnacle was founded seven years ago, and in that time, the company has successfully grown into one of the leading developers in logistics in its markets of Central and Eastern Europe. Pinnacle has offices in the Czech Republic, Poland and Slovakia, and is well placed to benefit from the positive economic development and the build out of distribution networks in Central and Eastern Europe. 

Atif A Abdulmalik, Arcapita’s chief executive officer, said: “With its growing footprint in Central and Eastern Europe, we are very pleased to have added Pinnacle to our European real estate portfolio. Pinnacle has quickly built up an attractive mix of yielding and developmental assets to become a dominant developer in what we believe are high growth markets with excellent further appetite for modern and well situated warehousing and distribution facilities. 

"Pinnacle also fits well with our existing portfolio of West European logistics warehouses, and takes our total European investment into this sector to over €1.4 billion, representing a total of approximately 2 million sq m of developed and developable warehouse space.”

Martin Carr, a founder and chief executive of Pinnacle, commented: “We are very pleased to be in partnership with Arcapita as we develop this business.  With their track record in the sector, and our shared belief in the opportunity for further growth, they are a valuable long term shareholder that will be fully involved in supporting our plans for growth.” - TradeArabia News Service